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Aldar Properties PJSC (ADX:ALDAR) Interest Coverage : 7.68 (As of Mar. 2024)


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What is Aldar Properties PJSC Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Aldar Properties PJSC's Operating Income for the three months ended in Mar. 2024 was د.إ1,571 Mil. Aldar Properties PJSC's Interest Expense for the three months ended in Mar. 2024 was د.إ-205 Mil. Aldar Properties PJSC's interest coverage for the quarter that ended in Mar. 2024 was 7.68. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Aldar Properties PJSC's Interest Coverage or its related term are showing as below:

ADX:ALDAR' s Interest Coverage Range Over the Past 10 Years
Min: 4.55   Med: 8.01   Max: 12.56
Current: 7.04


ADX:ALDAR's Interest Coverage is ranked better than
61.62% of 1342 companies
in the Real Estate industry
Industry Median: 3.955 vs ADX:ALDAR: 7.04

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Aldar Properties PJSC Interest Coverage Historical Data

The historical data trend for Aldar Properties PJSC's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

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Aldar Properties PJSC Interest Coverage Chart

Aldar Properties PJSC Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.20 7.69 9.74 7.04 6.75

Aldar Properties PJSC Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.64 8.44 5.89 6.22 7.68

Competitive Comparison of Aldar Properties PJSC's Interest Coverage

For the Real Estate - Development subindustry, Aldar Properties PJSC's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Aldar Properties PJSC's Interest Coverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Aldar Properties PJSC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Aldar Properties PJSC's Interest Coverage falls into.



Aldar Properties PJSC Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Aldar Properties PJSC's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, Aldar Properties PJSC's Interest Expense was د.إ-607 Mil. Its Operating Income was د.إ4,101 Mil. And its Long-Term Debt & Capital Lease Obligation was د.إ11,794 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*4100.932/-607.438
=6.75

Aldar Properties PJSC's Interest Coverage for the quarter that ended in Mar. 2024 is calculated as

Here, for the three months ended in Mar. 2024, Aldar Properties PJSC's Interest Expense was د.إ-205 Mil. Its Operating Income was د.إ1,571 Mil. And its Long-Term Debt & Capital Lease Obligation was د.إ11,419 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*1570.9/-204.538
=7.68

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


Aldar Properties PJSC  (ADX:ALDAR) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Aldar Properties PJSC Interest Coverage Related Terms

Thank you for viewing the detailed overview of Aldar Properties PJSC's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Aldar Properties PJSC (ADX:ALDAR) Business Description

Traded in Other Exchanges
N/A
Address
Al Raha Beach, P.O. Box 51133, Abu Dhabi, ARE
Aldar Properties PJSC is a general real estate company. Its operating segment includes Property development and sales; Project management services; Investment properties; Hospitality and leisure; Education and Principal investments. The company generates maximum revenue from the Property development and sales segment.

Aldar Properties PJSC (ADX:ALDAR) Headlines

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